Clarification on what is now applicable to Airbnb-type short-term rentals is provided by the Independent Revenue Authority through an updated guide tool.

The guide has new additions concerning property owners, managers, sole traders and companies operating properties through platforms such as Airbnb, Booking or VRBO, and especially those with more than two property, those who provide additional services beyond accommodation and bed and breakfasts, those who are required to open a branch or activity due to a third-party AMA, and those who wish to know what the Climate Resilience Fee (CRF) is, the Transient Occupiers’ Tax, VAT, cancellations of reservations, fines for late returns and how to calculate the number of leased properties to become a private individual or professional.

According to the instructions, the business tax for those who declare an activity with an ID related to short-term leases is not levied annually with a fixed amount, but is calculated pro rata based on the duration of the activity. If a start or cessation is declared within the year, the taxpayer is charged only for the months of operation, and each
A month with more than 15 days is counted as a full month.

If a person acquires a third AMA and it is not a joint tenancy in the same property
(e.g., renting two rooms in a single apartment), Then the activity is considered new, and a branch must be declared within 30 days. This obligation applies regardless of when the first booking is initiated. The date of acquisition of the AMA is the reference point, not the start of the lease.

For those who manage bookings through platforms such as Airbnb or Booking, it is given
special emphasis is placed on the TCCC (Simple Per Capita Consumption Fee) and the fee
guest tax.

A detailed list of new questions and answers in the updated guide from ADC:

Do reservations from Operators with ESL or MGA who provide services other than accommodation and bedding have to be reported to the Registry?
No. Only reservations are required to be entered in the Registry of Short-Term Accommodation Properties of the DHA:

• (a) persons carrying out short-term rentals, as defined in the relevant legislation,
• b) persons referred to in paragraph 5 of Article 46 of Law No. 4179/2013, concerning self-service accommodation of the Ministry of Tourism.

Those who provide additional services (e.g. cleaning, transportation, etc.) are considered to be engaged in other activities and do not fall into the above category.

Can companies or sole proprietorships with three or more properties have income from additional services to third parties?
Yes. Income from services such as luggage storage, promotion of transportation company brochures, excursions or mini cruises are considered a separate business activity. They must be reported under a different ZIP code from that of short-term rentals.

Is the Business Tax annual or proportional?
It is proportional. It is calculated on the basis of the period of operation of the branch. If the interval exceeds 15 days, it is considered a full month.

From the tax year 2024 onwards, no business tax is imposed on individuals engaged in sole proprietorship.

Example: If a manager starts 5/9, he/she will pay 4/12 of the annual business tax.

Should the branch start and stop dates be the same as the lease between the owner and the manager?
No. No agreement on dates is required. It is sufficient that the property has been registered with the Registry and the AMA has been issued.

When does an individual acquiring a third-party AMA have to make a commencement declaration?
Within 30 days of receiving the third AMA, except in the case of two rooms in a common single room. If there are additional benefits (e.g., breakfast, transportation), then a declaration is required earlier as well.

What is the deadline for opening a branch office?
30 days from receipt of the AMA. Example: If an AMA is given on 1/1 and a reservation is made on 5/1 for hosting in June, the declaration must be made by 30/1.

What if the platforms do not support per-period TAKK customization?
Can a flat fee be set (e.g. €8) and the excess amount in periods of reduced fee (e.g., November-March) be declared as income? VAT and Transient Occupancy Tax apply to this.

• • Can VAT and Transient Occupancy Fee be incorporated into the final price without a separate charge?

• • Yes, as long as the amounts are properly segregated and reimbursed with the appropriate forms.
  • Calculation:
  • – Rent: €100

• • – VAT: €8 → to be paid separately
  • – Balance: €92
  • – VAT: €10.58
  • – Transients’ tax: €0.41
  • – Net income: €81.01

81.01 € – 81.01 € – 81.01 € – 81.01 €

• What are the fines for late declaration of TAKK?
• – 100 € for individuals
• – 250 € for non-accounting books
• – €500 for double-entry books
• – interest in all cases

What happens in case of cancellation of a reservation already registered in the Register?
An amended declaration of cancellation must be submitted, regardless of whether a payment is anticipated. Corrections are allowed up to 28 February of the following year. No changes are allowed after the Registry is finalized.

How is the number of properties owned by an individual calculated?
The number of AMAs is taken into account. If an apartment or house is rented as two rooms in a common area and three AMAs have been issued, it is considered to be two separate properties.